7 of the best wisdom from the billionaire Warren Buffett

#3 in the World's Billionaiores Chart by Forbes.

Net worth $82.5 Billion (2019)

Known as the "Oracle of Omaha," Warren Buffett is one of the most successful investors of all time.

Buffett runs Berkshire Hathaway, which owns more than 60 companies, including insurer Geico, battery maker Duracell and restaurant chain Dairy Queen.

The son of a U.S. congressman, he first bought stock at age 11 and first filed taxes at age 13.

He's promised to give away over 99% of his fortune. In 2018 he donated $3.4 billion, much of it to the foundation of friends Bill and Melinda Gates.

In 2010, he and Gates launched the Giving Pledge, asking billionaires to commit to donating half their wealth to charitable causes.

With his wife Melinda, Bill Gates chairs the Bill & Melinda Gates Foundation, the world's largest private charitable foundation.

The foundation works to save lives and improve global health, and is working with Rotary International to eliminate polio.

1. "Marry the right person."

Warren Buffett
Berkshire Hathaway CEO

Buffett made his fortune through smart investing, but if you ask him about the most important decision he ever made, it would have nothing to do with money.

The biggest decision of your life, Buffett says, is who you choose to marry.

“You want to associate with people who are the kind of person you’d like to be. You’ll move in that direction,” he said during a 2017 conversation with Bill Gates.

“And the most important person by far in that respect is your spouse. I can’t overemphasize how important that is.”

2. "Communicate effectively."

Warren Buffett
Berkshire Hathaway CEO

“By far the best investment you can make is in yourself,” Buffett told Yahoo Finance editor-in-chief Andy Serwer earlier this year.

First, “learn to communicate better both in writing and in person. ” Honing that skill can increase your value by at least 50%, he said in a Facebook video posted in 2018.

3. "Take care of your mind and body."

Warren Buffett
Berkshire Hathaway CEO
Warren Buffett starts every morning by reading several newspapers and reads 500 pages from a book in the stack of his library.

Take care of your mind and body — especially when you’re young.

“I read and think,” Buffett once said. “So I do more reading and thinking, and make less impulse decisions than most people in business. I do it because I like this kind of life.”

“If I gave you a car, and it’d be the only car you get the rest of your life, you would take care of it like you can’t believe. Any scratch, you’d fix that moment, you’d read the owner’s manual, you’d keep a garage and do all these things,”

You get exactly one mind and one body in this world, and you can’t start taking care of it when you’re 50. By that time, you’ll rust it out if you haven’t done anything.

4. " Associate yourself with ‘high-grade people’."

Warren Buffett
Berkshire Hathaway CEO

Who you associate with matters.

One of the best things you can do in life is to surround yourself with people who are better than you are.

If you’re around what he calls “high-grade people,” you’ll start acting more like them.

Conversely, “If you hang around with people who behave worse than you, pretty soon you’ll start being pulled in that direction. That’s just the way it seems to work.”

5. "Work for people you respect."

Warren Buffett
Berkshire Hathaway CEO

Try to work for whomever you admire most, It won’t necessarily be the job that you’ll have 10 years later, but you’ll have the opportunity to pick up so much as you go along.

While salary is an important factor when thinking about your career, You don’t want to take a job just for the money.

He once accepted a job with his mentor and hero, Benjamin Graham, without even asking about the salary. “I found that out at the end of the month when I got my paycheck,”.

6. " Ignore the noise."

Warren Buffett
Berkshire Hathaway CEO

Investing can get emotional, and it doesn’t help that you can see how you’re doing throughout the day by checking a stock ticker or turning on the news.

But no one can be certain which way the financial markets are going to move.

The best strategy, even when the market seems to be tanking, is to keep a level head and stay the course, Buffett says.

“I don’t pay any attention to what economists say, frankly,” he said in 2016.

“If you look at the whole history of [economists], they don’t make a lot of money buying and selling stocks, but people who buy and sell stocks listen to them. I have a little trouble with that.”

7. " Success isn’t measured by money."

Warren Buffett
Berkshire Hathaway CEO
Warren and Susan Buffett at their home at 5202 Underwood Ave. in 1956.

Buffett is consistently one of the richest people in the world, but he doesn’t use wealth as a measure of success. For him, it all boils down to if the people you’re closest to love you.

“Being given unconditional love is the greatest benefit you can ever get,” Buffett told MBA students in a 2008 talk.

“The incredible thing about love is that you can’t get rid of it. If you try to give it away, you end up with twice as much, but if you try to hold onto it, it disappears.

It is an extraordinary situation, where the people who just absolutely push it out, get it back tenfold.”

8. "Passive income; If you don't find a way to make money while you sleep, you will work until you die."

Warren Buffett
Berkshire Hathaway CEO

Passive income is highly sought after and often misunderstood. Passive income streams require an upfront investment and a lot of nurturing in the beginning.

After some time and hard work these passive income streams and investments start to build and are able to maintain themselves, bringing you consistent revenue without much effort on your part.

Jim Rohn, once said, “If you don’t design your own life plan, chances are you’ll fall into someone else’s plan. And guess what they have planned for you? Not much.

We attract money with ideas; in fact, money flows naturally towards the path of an idea.

Self-made millionaire Steve Siebold interviewed 1,200 of the world’s wealthiest people to find out what traits they shared. One trait nearly all of them had in common? They read everything from self-improvement books to autobiographies.

Author Tom Corley wrote in “Rich Habits: The Daily Success Habits Of Wealthy Individuals.” He found that 67 percent of rich people limited TV time to one hour or less per day, compared to only 23 percent of poor people.

The advice you receive as a kid from your parents, to read because “it makes you smarter,” is indeed supported by psychology and neuroscience research.

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